Audit Report and Internal Control Evaluation
Independent Registered Public Accounting Firm Audit Report
As of December 31, 20XX and 20XX the following financial statements for Apollo Shoes, Inc. were audited by Jones and Associates; comprehensive income statement, statement of income, shareholder’s equity statement, balance sheet, and statement of cash flows for the reviewed years ending on December 31, 20XX. Along with auditing management’s assessment, an inclusion was made in the management’s report of financial reporting related to internal control stating that, Apollo Shoes, Inc. has maintained an effective internal control as established by criteria for Internal Control in the Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Management of the company has the responsibility for effective control maintenance related to financial statements and reporting, as well as assessments of internal control. Jones and Associates has the responsibility to express an opinion on these financial statements, management’s assessments, along with the company’s effectiveness of internal control over financial reporting (Arens, Elder, & Beasley 2006).
Our audits were conducted in accordance with standards set by the Public Company Accounting Oversight Board (PCOAB). According to these standards, we are required to plan and perform audit functions in a manner to obtain reasonable assurance that the company’s financial statements are free of material misstatements as well as if an effective internal control over financial reporting was maintained. The audit performed by Jones and Associates included examination of test based evidence which supported disclosures and amounts on company financial statements, an assessment of the accounting principles used by management, significant estimate assessments made by management, as well as an overall evaluation of financial statement...